Audit 319284

Finding 2023-002: Internal Controls over Compliance and Other Matters L. Reporting U.S. DEPARTMENT OF JUSTICE Children Exposed to Violence – Assistance Listing No. 16.818 Criteria: Per 2 CFR 200.303, a non-Federal entity must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the award. These internal controls should be in compliance with guidance in “Standards for Internal Control in the Federal Government” issued by the Comptroller General of the United States or the “Internal Control Integrated Framework”, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: During our evaluation of controls over financial and performance reporting, it was discovered that evidence to document reports are reviewed and approved prior to submittal was not maintained by Youthprise until after July 2023. Per COSO, segregation of duties should exist between those preparing and those reviewing and filing required reports. Best practices would include ensuring adequate supporting evidence exists to substantiate controls are being followed. Cause: Internal controls were not in place to document internal controls over reporting were in place and being followed. Effect: The condition noted above could result in noncompliance over reporting by Youthprise. Context: During our audit, Youthprise had described its internal controls in place over reporting, however the auditor was unable to substantiate statements made due to lack of supporting evidence and due to staff turnover at the organization. The instances of not following internal controls in place occurred during the first seven months of 2023, prior to the completion of the 2022 audit. Questioned Costs: $0 Identification of Repeat Finding: Yes; continuation of finding 2022-005. Recommendation: We recommend Youthprise document its review and approval process over reports and document report submission dates. Views of Responsible Officials and Corrective Action Plan: Management agrees with this finding and has since corrected the deficiency. Additional details can be found in Youthprise’s Corrective Action Plan.

Finding 2023-002: Internal Controls over Compliance and Other Matters L. Reporting U.S. DEPARTMENT OF JUSTICE Children Exposed to Violence – Assistance Listing No. 16.818 Criteria: Per 2 CFR 200.303, a non-Federal entity must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the award. These internal controls should be in compliance with guidance in “Standards for Internal Control in the Federal Government” issued by the Comptroller General of the United States or the “Internal Control Integrated Framework”, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: During our evaluation of controls over financial and performance reporting, it was discovered that evidence to document reports are reviewed and approved prior to submittal was not maintained by Youthprise until after July 2023. Per COSO, segregation of duties should exist between those preparing and those reviewing and filing required reports. Best practices would include ensuring adequate supporting evidence exists to substantiate controls are being followed. Cause: Internal controls were not in place to document internal controls over reporting were in place and being followed. Effect: The condition noted above could result in noncompliance over reporting by Youthprise. Context: During our audit, Youthprise had described its internal controls in place over reporting, however the auditor was unable to substantiate statements made due to lack of supporting evidence and due to staff turnover at the organization. The instances of not following internal controls in place occurred during the first seven months of 2023, prior to the completion of the 2022 audit. Questioned Costs: $0 Identification of Repeat Finding: Yes; continuation of finding 2022-005. Recommendation: We recommend Youthprise document its review and approval process over reports and document report submission dates. Views of Responsible Officials and Corrective Action Plan: Management agrees with this finding and has since corrected the deficiency. Additional details can be found in Youthprise’s Corrective Action Plan.